August 01, 2018 — Austin
Texas condominium sales in Texas fell slightly while townhome sales grew between July 2017 and June 2018, according to the Texas Condominium Sales Report released today by the Texas REALTORS®. Texas condominium sales fell 2.1 percent to 14,279 sales, while townhome sales increased 6.3 percent to 9,064 sales during this time frame.
“Despite the slight decrease in sales, the Texas condominium and townhome market remains one of the most popular segments of the Texas housing market,” said Kaki Lybbert, chairman of the Texas REALTORS®. “With less maintenance and close proximity to popular attractions, many retirees and young professionals prefer condos and townhomes as an affordable alternative to traditional, single-family homes.”
From July 2017 to June 2018, the dollar volume of condominiums and townhomes sold in Texas was $5,748,908,746, with $3,414,945,120 in condominium sales and $2,333,963,626 in townhome sales.
Sales prices experienced moderate increases for condominiums and townhomes. Statewide, the year-to-date median sales price as of June 2018 was $185,000 for condominiums, an annual increase of 3.4 percent, and $226,000 for townhomes, an annual increase of 2.3 percent. The average price-per-square foot during this time frame was $187 for condominiums and $139 for townhomes in Texas.
“Across our major markets, condominiums and townhomes are more suited to meet the affordable demands of housing in high-density urban areas,” said Jim Gaines, chief economist with the Real Estate Center at Texas A&M University. “As population growth continues to climb especially in major metropolitan areas of Texas, condominiums and townhomes are prime options for residents looking to own property in densely-populated areas under $300,000.”
Housing inventory for Texas condominiums and townhomes decreased slightly, with condominiums declining 0.2 months to 4.5 months of inventory and townhomes decreasing 0.1 months to 4.6 months of inventory. In the first six months of the year, Texas condominiums spent an average of 65 days on the market, while townhomes spent an average of 61 days on the market.
Lybbert concluded, “Condominiums and townhomes offer greater affordability and higher levels of inventory than other housing types on the market. However, these properties often come with strict guidelines and regulations compared to a traditional single-family home. We encourage all homebuyers to look to their Texas REALTORS® as a resource in helping them navigate through these regulations before purchasing a condominium or townhome in Texas.”